
KUALA LUMPUR – The government is reviewing proposals to broaden the diesel subsidy scheme, aiming to ensure that all affected groups, including farmers, can benefit.
Muhammad Kamil Abdul Munim, the Finance Minister’s political secretary, said the authorities continue to heed complaints from those impacted by rising diesel prices and are exploring ways to assist them, Bernama reported.
“Among the measures under consideration are targeted subsidies similar to those implemented under the BUDI MADANI RON95 (BUDI95) programme, as well as expanding the use of fleet cards to other groups who were previously not eligible for the facility, including farmers,” he said.
“All these matters are under study, including feedback from farmers, some of whom are not subscribed to the existing scheme but are nonetheless affected. The government is comprehensively examining the entire matter to ensure that no party is left behind,” he told reporters after attending an Aidilfitri open house in Gurun near here last night.
Muhammad Kamil noted that the successful rollout of the BUDI95 programme, which encountered minimal issues, serves as a key reference for devising a new approach to diesel subsidies, prioritising efficiency and simplicity.
He added that the government is mindful of current fiscal pressures, with expenditure to cushion rising fuel prices increasing sharply from around RM700 million to RM6 billion.
“This increase reflects the government’s strong commitment to ensuring the people are not severely affected by rising global oil prices, but at the same time, we need to assess our current financial capacity,” he said.
He explained that subsidy rationalisation, expenditure savings, and enforcement measures to prevent leakages have so far enabled the country to manage rising global oil prices.
“But if costs continue to rise, I do not think it is appropriate for us to remain in the current position. Instead, we need to make adjustments and shift in line with current economic developments,” he said.
On ferry services to Langkawi, which have also been impacted, Muhammad Kamil said the matter falls under the Transport Ministry, which will review proposals for improvement, including their effect on the island’s tourism sector. – April 12, 2026
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